Indian shares set for muted start
Oct 30 (Reuters) -Indian shares are set to open flat on Wednesday, with traders expecting caution to prevail due to persistent foreign selling and dull corporate earnings as investors await key U.S. data and outcome of the U.S. presidential election.
The Gift Nifty futures GIFc1 were trading at 24,445.5, as of 07:55 a.m. IST, indicating that the benchmark Nifty 50 .NSEI will open near Tuesday's close of 24,466.85.
Although benchmark indexes Nifty 50 and BSE Sensex .BSESN have clocked in gains in the past two sessions, they are down about 7% from record-high levels hit on Sept. 27. Sentiment was dampened by foreign outflows for 22 straight sessions and a largely tepid earnings season so far.
Foreign selling from Indian shares in October has risen to$10.82 billion, as of Oct. 29, according to National Securities Depository data, set for record monthly outflows.
The Nifty 50 .NSEI has lost 5.21% in October so far, and is on track for its worst monthly performance since March 2020 when lockdown-related restrictions rattled investors and triggered a meltdown across global equity markets.
Investors are likely to remain cautious and trading will be indecisive ahead of U.S. non-farm payroll data on Friday and the presidential election on Nov. 5, two traders said.
Intraday volatility could still climb in the next few sessions, ahead of monthly derivatives expiry on Thursday and stock-specific reactions to quarterly earnings will continue to guide the markets' trajectory, they said.
Asian markets were trading flat.
Most Wall Street equities closed higher overnight, with Nasdaq Composite .IXIC logging a record closing high on Tuesday.
After Google parent Alphabet GOOGL.O topped expectations for its third-quarter revenue, focus shifted to earnings reports from several of the biggest technology companies including Microsoft MSFT.O, Amazon AMZN.O, Apple AAPL.O and Meta META.O due this week. MKTS/GLOB
STOCKS TO WATCH
** Consumer goods maker Marico MRCO.NS beats second-quarter profit estimate, helped by price hikes.
** Realty developer Prestige Estates PREG.NS posts slowing second-quarter revenue growth, dragged by delayed approvals that weighed on property launches in its mainstay Bengaluru market.
** Garden Reach Shipbuilders GRSE.NS signs contract for an acoustic research ship in a deal worth 4.91 billion rupees.
** Larsen & Toubro LART.NS, Dabur DABU.NS, Biocon BION.NS and Tata Power TTPW.NS will be in focus ahead of their earnings later in the day.
($1 = 84.0650 Indian rupees)
Reporting by Bharath Rajeswaran in Bengaluru; Editing by Sherry Jacob-Phillips
Related Assets
Latest News
Disclaimer: The XM Group entities provide execution-only service and access to our Online Trading Facility, permitting a person to view and/or use the content available on or via the website, is not intended to change or expand on this, nor does it change or expand on this. Such access and use are always subject to: (i) Terms and Conditions; (ii) Risk Warnings; and (iii) Full Disclaimer. Such content is therefore provided as no more than general information. Particularly, please be aware that the contents of our Online Trading Facility are neither a solicitation, nor an offer to enter any transactions on the financial markets. Trading on any financial market involves a significant level of risk to your capital.
All material published on our Online Trading Facility is intended for educational/informational purposes only, and does not contain – nor should it be considered as containing – financial, investment tax or trading advice and recommendations; or a record of our trading prices; or an offer of, or solicitation for, a transaction in any financial instruments; or unsolicited financial promotions to you.
Any third-party content, as well as content prepared by XM, such as: opinions, news, research, analyses, prices and other information or links to third-party sites contained on this website are provided on an “as-is” basis, as general market commentary, and do not constitute investment advice. To the extent that any content is construed as investment research, you must note and accept that the content was not intended to and has not been prepared in accordance with legal requirements designed to promote the independence of investment research and as such, it would be considered as marketing communication under the relevant laws and regulations. Please ensure that you have read and understood our Notification on Non-Independent Investment. Research and Risk Warning concerning the foregoing information, which can be accessed here.
